Opposition lawmaker apologizes over cryptocurrency suspicions but claims innocence
Rep. Kim Nam-kuk of the main opposition Democratic Party of Korea walks past reporters at the National Assembly, May 9. Newsis
A lawmaker of the main opposition Democratic Party of Korea (DPK) apologized Tuesday over suspicions surrounding his once-massive cryptocurrency holdings but claimed once again that no irregularities were involved in the transactions.
Rep. Kim Nam-kuk has been under intense media and public scrutiny following revelations he had owned around 800,000 Wemix coins last year, worth about 6 billion won ($4.5 million) at that time, a massive amount that does not fit the frugal image of the first-term lawmaker.
Suspicions have since arisen over such issues as where the money came from and whether he used insider information. Kim has sought to dispel such suspicions, disclosing some information on his transactions and claiming that no irregular means were used for his investment.
Still, criticism has not died down, and some from Kim's own party also joined in criticizing him, saying that he was busy making such investments behind the scenes at a time when ordinary people struggled to make ends meet.
"As a public servant, I did not put myself to the eye level of people amid the livelihood crisis. I sincerely apologize," Kim said. "I should have apologized earlier but failed to show a responsible attitude as I concentrated on clarifying things."
Kim stressed that all transactions were transparent.
"I faithfully submitted all evidence data to the party," he said. "For the time being, I will actively cooperate with the party's investigation and will faithfully submit if there is any additional data necessary."
Kim reportedly withdrew all the coins before the enforcement of the so-called Travel Rule last March, which requires virtual asset brokers or market operators to report the identities of sellers and buyers to the financial authorities for trading worth 1 million won or more.
Critics have said Kim's cryptocurrency holdings could represent a conflict of interest as he co-sponsored a bill allowing a tax waiver on virtual assets.
His cryptocurrency assets had also not been disclosed to the public through the regular asset disclosure required of high-ranking government officials and lawmakers, although virtual assets are not subject to such disclosure. The whereabouts of the withdrawn coins also remain unknown.
Kim reported assets worth 1.27 billion won in March last year and 1.53 billion won in March this year.
"Transactions were done through full-name accounts under my name. Allegations that I used undisclosed information or used inherited money are downright false," he said, referring to a statement he posted the previous day explaining where the initial investment came from. (Yonhap)